Netflix may have had an optimistic start to the year, but it still faces a series of threats and opportunities abroad if it wants to maintain its worldwide dominance. Here’s an overview of what the company can expect to face.
India is the next battleground in the streaming wars: Amazon Prime Video, Disney, and Netflix are fighting for dominance in the growing streaming market.
Netflix is making moves in India to compete with Disney+ Hotstar and Amazon Prime Video: Streaming services have turned to the country to make up lost ground back at home, but breaking in may not be so easy.
Indian consumers pay some of the lowest rates for mobile data in the world, which has led to massive increase in digital viewership penetration among internet users. Our newly revised forecast estimates show that there was higher than expected growth in subscription video-on-demand (SVOD) users in India over the last several years, with the rate of growth moderating after an initial massive wave of Indians coming online.
Traditional and digital channels are driving media consumption in parallel in India, unlike Western countries where time spent with traditional media is shrinking.
In India, disruption in the sports broadcasting industry is coming mainly from mobile, as smartphones and better access to data in rural areas have expanded the market for streaming. Top OTT providers include Hotstar, SonyLIV, JioTV and Airtel TV.
In primarily English-language countries, Netflix has a clear track record of success, with a majority of over-the-top users in those markets using its services. But if it hasn’t filled out its slate of localized content, adoption is slower.
Asia-Pacific is home to some of the fastest-growing markets in the world for subscription OTT video users. Viewership is forecast to increase 35.2% to 331.5 million in 2018.
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